Climate Action Merribek: people in Brunswick, Coburg, Fawkner and Glenroy wanting action on climate change

Submission on Tax deductible status of environmental organisations

August 4, 2017 at 6:41 pm John Englart Leave a comment

The Australia Institute commissioned polling (Sep 2016) on tax deductible status on environmental campaigning and advocacy

The charitable status of Environmental organisations is again under threat by a Treasury discussion paper. We think this is another attack to undermine the funding of climate campaigns, orchestrated in particular by the mining lobby and Minerals Council of Australia.

Organisations such as the Australian Conservation Foundation, Environment Victoria and Friends of the Earth, and even the Climate Council, have tax deductible status which enables them to more easily fundraise for their environmental, climate and social justice campaigns. These campaigns involve important research, education and community advocacy.

You may have noticed that these, and other environmental NGOs have had a particular recent focus on climate change. We think these changes are being suggested at the behest of the Minerals Council of Australia as part of an ideological agenda to undermine the fund raising basis and to sanction environmental NGOs due to the campaign for climate justice and push for rapid emissions reduction, end to fossil fuel subsidies, call for no new coal mines and phaseout of fossil fuel exploitation.

Although we are not directly affected as we are an unincorporated association, we sometimes rely on interactions with 350 Australia, Australian Conservation Foundation, Environment Victoria and Friends of the Earth to help in our advocacy and grassroots and community education work. The tax deductible status of these organisations ensures they can fundraise, and indirectly supports our local community campaigning. Read more on this campaign by Friends of the Earth, or read the Climate Council submission.

The Treasury discussion paper is floating a host of proposals that include several targeting specifically environment NGOs and their work:

• placing additional reporting requirements on reporting advocacy activities to add extra administrative burden
• Five year general sunset clause to make organisations go through the complex registration process
• Requiring environmental organisations to commit no less than 25 per cent of their annual expenditure from their public fund to environmental remediation, and perhaps up to 50 per cent
• Sanctions for environmental organisations involved in ‘illegal’ activity such as organising protests

Mining companies are able to claim fees and membership of industry associations such as the Minerals Council of Australia and Queensland Resources Council, as fully business tax deductible expenses. This money is used in mining advocacy for projects often of a destructive environmental nature. These funds are also used in the campaign to stop the tax deductible status of environmental organisations.

Read the Australia Institute September 2015 report on Public Support for Environmental Advocacy (PDF) which includes a commissioned poll on Australian attitudes to environmental advocacy and tax deductible status.

To find out what people actually think, The Australia Institute conducted national polling. The results found:

* Most people support tax-deductible donations to a wide range of advocacy activities, including:

• advocacy to change policy (68 per cent),
• campaigning (68 per cent) and
• legal cases to uphold existing law (55 per cent).

* Only 27 per cent said environment groups had too much influence in public debates, while 34 per cent said they had not enough influence.
* By contrast, most people said big business (62 per cent) and mining companies (58 per cent) had too much influence.

While 7 in 10 Australians supports tax-deductible donations to environmental advocacy, the government wants to ban them. While 6 in 10 Australians are concerned big business and mining companies have too much influence, the Coalition enthusiastically promotes them and even encourages them become “political activists” and “fight” government policy.

What’s more, big business and mining companies wield their influence through lobbying activities that are themselves tax deductible. In the last 5 years, the mining industry has spent $340 million on lobby groups, and more on registered lobbyists and in-house lobbyists.

Read our full submission to the Treasury Department

❤ @firstdogonmoon bringing logic into situation again. Terrifying that sensible discourse has to be led by a cartoonist #DefendEnviroOrgs pic.twitter.com/h5T7h0CQ2u

— CounterAct (@CounterActOz) July 17, 2017

Background reading

These articles are in chronological order, with most recent towards the top. Many relate to the House of Reps Inquiry of 2015 and 2016.

• Environmental NGOs, public advocacy and government

Joan Staples, July 2017

• Government’s letter to conservation groups has ominous implications

Lenore Taylor, The Guardian, July 2017

• Charity Defends DGR Status as a Champion for Environment and Democracy

Rachel McFadden, ProBono News, July 2017

• Divide and Conquer

With environmental charities in the firing line over DGR status the sector must stay strong and not become divided, writes David Crosbie, CEO of the Community Council for Australia (CCA). 2017

• Green Groups call on Malcolm Turnbull to keep tax deductible status
  The Guardian, September 2015

• Endangered species: The potential impacts of the Inquiry into the Register of Environmental Organisations
  Opinion piece by Cam Walker, Generosity Magazine, September 2015

• Australian public support environmental advocacy
  The mining and forestry lobby campaign to remove tax-deductibility for certain non-for-profit organisations they deem contrary to their business interests, does not have the support of the Australian public, according to new polling.
  Polling carried out for The Australia Institute. September 2015

• Voters feel Coalition is trying to silence environmental groups
  Lenore Taylor, The Guardian, September 2015

• George Christensen apologises but environment groups fear tax ‘witch-hunt’ could cost them millions
  Bianca Hall, The Age, July 19, 2015

• Green groups feel squeeze over tax-deductible donations probe
  The Saturday paper, Samantha Trenoweth, June 27, 2015

• Inquiry Targeting Green Groups Accidentally Exposes $145 Million Mining Tax Dodge
  Thom Mitchell, New Matilda June 2015

• Silence on the Agenda for Enviro-Charity Inquiry
  Andrew Leigh, Probono News. June 2015

• Australia needs politically active environmental groups
  The Conversation, June 2015

• Miners ‘hypocritical’ on tax status, says Greenpeace
  Greenpeace has accused the mining lobby of “breathtaking hypocrisy” in its attempt to silence environmental groups by stripping them of charitable status when minerals and oil industry groups are themselves bankrolled by tax-deductible contributions from mining companies.
  The Age. Journalist Heath Aston. June 12, 2015

• Minerals Council misses deadline to make submission to inquiry it called for
  Heath Aston, The Age, May 28 2015

• Big green donors warn funds could dry up if Abbott government changes tax rules
  Tom Arup, The Age/ SMH. May 25, 2015

• Preventing political advocacy by environment groups an ‘attack on democracy’
  Heath Aston. SMH/ The Age. May 2015

• Limiting environmental philanthropy would leave our democracy poorer
  By Greens Senator Larissa Waters. ABC Environment

• Silencing NFP Environmental Groups No Surprise
  From ProBono News, by Senator Rachel Siewert

• Tax exempt status of Environment NGOs targeted
  By John Englart

• Government inquiry takes aim at green charities that ‘get political’
  From The Conversation, by Peter Burdon

• Government MP steps up campaign against eco-charity tax concessions
  From ABC 7.30 Program, journalist Conor Duffy

• Environmental groups face tax deductibility loss in Government push
  ABC 7.30 Report, journalist Conor Duffy

• Brandis ties NGO funding to non-advocacy
  The Abbott government is using money and law to close down criticism and gag the community’s most trusted voices.
  From The Saturday paper, by Mike Seccombe

• Step by step, conservative forces move to silence NGOs’ voices
  From The Conversation, by Joan Staples

Entry filed under: news, Policy. Tags: submission, Treasury.